EFFECT OF FLUCTUATING FOREIGN EXCHANGE RATE ON NIGERIA CURRENCY

The currency of a nation is made to appreciate it. Is this appreciation made at the expense of the foreign market determinant? Or is it as a result of the country’s effort? It is the aim of this research work to find out if Nigeria applies foreign exchange rate controls, is naira appreciation what we attain to achieve. This research work has five chapters. Chapter one contains a general discussion of the foreign exchange rate fluctuation as seen by different people. It went further to state the problem to be studied and why this study was carried out, the scope and limitation of the study and finally the propositions and the definition of terms. A number of past related literature examined by other studies as it relates to the fluctuation of the exchange rate on the naira, are highlighted in chapter two. Chapter three deals with the design of the study, the methods used in collecting relevant data. It also deals with ways the questionnaires were carried out and the treatment of data. The data gotten from the research survey were presented and analyzed in chapter four. Finally, the summary of findings, conclusions on the research and recommendations made by the researcher are all in chapter five. If Nigeria would put the recommendations made in the study to use, there will be currency steady appreciation with controls applied. Then, the negative effect on our currency by the fluctuating foreign exchange rate will become a thing of the past.